Jaguar poised to hand global account to Y&R

Senior executives at Jaguar are actively considering handing most, and possibly all, of the company’s $125m (85m) global creative advertising business to Young & Rubicam (Y&R).

The WPP agency has already been briefed to create the advertising campaign for the X-Type model, which is to be launched at the end of May (MW January 18).

The decision to appoint Y&R is expected to be confirmed in the next few weeks. It means the creative work is no longer split between the two WPP-owned agencies, J Walter Thompson in London and Ogilvy & Mather in New York.

The move is part of a radical shake-up of Ford-owned Jaguar’s relationship with WPP. Insiders suggest it is likely to result in O&M losing its involvement in the above-the-line advertising, and to dramatically reduce JWT’s creative input.

Jaguar has a unique advertising arrangement, and considers WPP to be “its” agency. A central division at WPP called Global Communications Group (GCG) was set up for the luxury car brand 18 months ago. This enables Jaguar to tap into all WPP companies, including design agencies and research companies. JWT and O&M were the two roster agencies in GCG. Y&R has now joined GCG.

Jaguar director Phil Cazaly says: “We are not dissolving GCG.”

Cazaly adds that O&M has just produced the company brochure.

The move forms part of Ford’s policy of reducing the number of ad agencies it works with. Over the next five years the company is expected to consolidate each of its marques into individual agency networks.

Kevin King, who runs GCG and was Y&R’s Ford European account director, is cited by insiders as being a driving force behind the changes.